D.R. Horton (NYSE:DHI) Shares Gap Up After Better-Than-Expected Earnings

Shares of D.R. Horton, Inc. (NYSE:DHI) gapped up prior to trading on Thursday following a stronger than expected earnings report. The stock had previously closed at $145.74, but opened at $153.00. D.R. Horton shares last traded at $150.01, with a volume of 1,129,086 shares changing hands.

The construction company reported $3.52 earnings per share for the quarter, topping analysts’ consensus estimates of $3.08 by $0.44. D.R. Horton had a net margin of 13.18% and a return on equity of 21.06%. The business had revenue of $9.11 billion during the quarter, compared to analysts’ expectations of $8.15 billion. During the same period last year, the company posted $2.73 EPS. The company’s revenue was up 14.2% on a year-over-year basis.

D.R. Horton Dividend Announcement

The firm also recently disclosed a quarterly dividend, which will be paid on Thursday, May 9th. Stockholders of record on Thursday, May 2nd will be paid a dividend of $0.30 per share. The ex-dividend date is Wednesday, May 1st. This represents a $1.20 dividend on an annualized basis and a dividend yield of 0.84%. D.R. Horton’s dividend payout ratio (DPR) is 8.63%.

Analysts Set New Price Targets

A number of research analysts have recently weighed in on DHI shares. Bank of America dropped their price objective on shares of D.R. Horton from $182.00 to $168.00 and set a “buy” rating for the company in a research note on Friday. Wedbush reaffirmed an “underperform” rating and issued a $130.00 target price on shares of D.R. Horton in a research note on Thursday. Keefe, Bruyette & Woods lowered their target price on shares of D.R. Horton from $175.00 to $172.00 and set an “outperform” rating for the company in a research note on Wednesday, January 24th. The Goldman Sachs Group lifted their target price on shares of D.R. Horton from $150.00 to $173.00 and gave the stock a “buy” rating in a research note on Thursday, January 11th. Finally, JMP Securities lifted their target price on shares of D.R. Horton from $140.00 to $170.00 and gave the stock a “market outperform” rating in a research note on Wednesday, January 24th. Two research analysts have rated the stock with a sell rating, five have given a hold rating and twelve have issued a buy rating to the company. According to data from MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and a consensus target price of $158.06.

Insider Activity

In related news, Director Barbara K. Allen sold 449 shares of the company’s stock in a transaction on Thursday, March 14th. The shares were sold at an average price of $149.39, for a total transaction of $67,076.11. Following the completion of the sale, the director now directly owns 5,650 shares of the company’s stock, valued at approximately $844,053.50. The sale was disclosed in a filing with the SEC, which can be accessed through the SEC website. In other D.R. Horton news, Director Barbara K. Allen sold 1,748 shares of the company’s stock in a transaction dated Tuesday, January 30th. The shares were sold at an average price of $143.26, for a total value of $250,418.48. Following the completion of the transaction, the director now directly owns 5,650 shares of the company’s stock, valued at approximately $809,419. The transaction was disclosed in a filing with the SEC, which is accessible through this link. Also, Director Barbara K. Allen sold 449 shares of the company’s stock in a transaction dated Thursday, March 14th. The shares were sold at an average price of $149.39, for a total transaction of $67,076.11. Following the completion of the transaction, the director now directly owns 5,650 shares of the company’s stock, valued at $844,053.50. The disclosure for this sale can be found here. Insiders sold 27,197 shares of company stock valued at $4,225,745 in the last ninety days. Company insiders own 1.74% of the company’s stock.

Hedge Funds Weigh In On D.R. Horton

A number of institutional investors and hedge funds have recently added to or reduced their stakes in the company. Fairfield Bush & CO. acquired a new stake in shares of D.R. Horton in the 1st quarter valued at about $28,000. American Century Companies Inc. raised its stake in shares of D.R. Horton by 13.9% in the 1st quarter. American Century Companies Inc. now owns 22,684 shares of the construction company’s stock valued at $1,690,000 after purchasing an additional 2,771 shares in the last quarter. Panagora Asset Management Inc. raised its stake in shares of D.R. Horton by 10.7% in the 1st quarter. Panagora Asset Management Inc. now owns 10,075 shares of the construction company’s stock valued at $751,000 after purchasing an additional 973 shares in the last quarter. Sei Investments Co. raised its stake in D.R. Horton by 21.1% during the first quarter. Sei Investments Co. now owns 300,024 shares of the construction company’s stock worth $22,425,000 after acquiring an additional 52,320 shares during the period. Finally, Prudential PLC acquired a new stake in D.R. Horton during the first quarter worth about $560,000. 90.63% of the stock is owned by hedge funds and other institutional investors.

D.R. Horton Trading Down 2.5 %

The stock has a market cap of $47.18 billion, a price-to-earnings ratio of 10.23, a price-to-earnings-growth ratio of 0.72 and a beta of 1.64. The firm’s 50 day moving average is $151.91 and its two-hundred day moving average is $138.67. The company has a quick ratio of 1.20, a current ratio of 6.56 and a debt-to-equity ratio of 0.22.

D.R. Horton Company Profile

D.R. Horton, Inc operates as a homebuilding company in East, North, Southeast, South Central, Southwest, and Northwest regions in the United States. It engages in the acquisition and development of land; and construction and sale of residential homes in 118 markets across 33 states under the names of D.R.